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Arthur J. Gallagher & — Investor Presentation (July 2015)
11 slides from Arthur J. Gallagher &'s investor presentation, July 2015
Slide 1: Supreme Court Decision in Obergefell v. Hodges
Supreme Court Decision in Obergefell v. Hodges July, 2015 United States Supreme Court Decision in Obergefell v. Hodges COMPLIANCE CONSULTING | JULY 2015 Agenda • Same-Sex Marriage Background • Obergefell v. Hodges • Impact on Employee Benefit Plans • Employer Action Steps © 2015 GALLAGHER BENEFIT SE
Slide 2: Background
Supreme Court Decision in Obergefell v. Hodges July, 2015 BACKGROUND © 2015 GALLAGHER BENEFIT SERVICES, INC. ARTHUR J. GALLAGHER & CO. | BUSINESS WITHOUT BARRIERS™ 3 Background • June 2013 - United States v. Windsor – Federal law must use state law definitions of “marriage” and “spouse” – 13 States
Slide 3: Obergefell v. Hodges: Basics
Supreme Court Decision in Obergefell v. Hodges July, 2015 OBERGEFELL V. HODGES © 2015 GALLAGHER BENEFIT SERVICES, INC. ARTHUR J. GALLAGHER & CO. | BUSINESS WITHOUT BARRIERS™ 5 Obergefell v. Hodges: Basics • Consolidation of cases: Michigan, Kentucky, Ohio, Tennessee – Defined marriage as union betwe
Slide 4: Obergefell v. Hodges: Arguments and Timeline
Supreme Court Decision in Obergefell v. Hodges July, 2015 Obergefell v. Hodges: Arguments • Obergefell argument: – Ohio’s ban violated constitutional rights to Due Process and Equal Protection under the 14th Amendment of the U.S. Constitution • State of Ohio argument: – U.S. Constitution dictates th
Slide 5: Obergefell v. Hodges: Holdings
Supreme Court Decision in Obergefell v. Hodges July, 2015 Obergefell v. Hodges: Holdings • Due Process and Equal Protection Clauses of the Fourteenth Amendment require States to: 1) Allow same-sex couples to marry and 2) Recognize same-sex marriages legally performed in other States • Marriage is a
Slide 6: Impact of Obergefell on Employer-Sponsored Plans
Supreme Court Decision in Obergefell v. Hodges July, 2015 IMPACT OF OBERGEFELL ON EMPLOYER-SPONSORED PLANS © 2015 GALLAGHER BENEFIT SERVICES, INC. ARTHUR J. GALLAGHER & CO. | BUSINESS WITHOUT BARRIERS™ 11 Impact of Obergefell Health and Welfare Plans • Does not require employer plans to cover spouse
Slide 7: Impact of Obergefell
Supreme Court Decision in Obergefell v. Hodges July, 2015 Impact of Obergefell • Fully insured plans – Must comply with State insurance laws – Requires employers to extend those benefits to same-sex spouses • Self-insured plans – Requires employers to extend benefits to same-sex spouses where “spous
Slide 8: What Now?
Supreme Court Decision in Obergefell v. Hodges July, 2015 WHAT NOW? © 2015 GALLAGHER BENEFIT SERVICES, INC. ARTHUR J. GALLAGHER & CO. | BUSINESS WITHOUT BARRIERS™ 15 What Now? • COBRA – Same-sex spouses covered under an employee benefit have independent right to elect COBRA • FMLA – State of celebra
Slide 9: What Now? Taxation and Retirement Plans
Supreme Court Decision in Obergefell v. Hodges July, 2015 What Now? Taxation • Insurance premiums on a pre-tax basis in all states – Federal tax already on same basis • Decrease in payroll taxes for employers in all states • Tax-favorable treatment of health FSAs, HRAs, and HSAs reimbursements in al
Slide 10: What Now? Documentation Considerations
Supreme Court Decision in Obergefell v. Hodges July, 2015 What Now? Documentation Considerations • Retirement, Qualified and Non-Qualified Programs • FMLA Leave (federal and state) • Health Plan Coverage (e.g., medical, prescription, • Military Leave Policy (including FMLA) dental, vision, EAP, well
Slide 11: Thank you!
Supreme Court Decision in Obergefell v. Hodges July, 2015 Thank you! The intent of this presentation is to provide you with general information regarding the status of, and/or potential concerns related to, your current employee benefits issue. It does not necessarily fully address all your specific
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